According to reports, a draft notification issued by the U.S. Department of Homeland Security indicates that the U.S. government plans to impose a 50% tariff on Indian products.

The notification states that this tariff will apply to "Indian goods imported for customs clearance or withdrawn from warehouses starting at 12:00 am Eastern Daylight Time on August 27, 2025."

The British Broadcasting Corporation (BBC) reported that India primarily exports clothing, shrimp, gemstones, and jewelry to the United States. Trade experts have stated that these high tariffs are almost equivalent to a ban on Indian goods.

The report notes that to mitigate this impact, the Indian government has taken some measures, such as temporarily suspending import duties on raw materials and accelerating trade negotiations with other countries to expand markets.